Iva

GameOver_2

Hi

Can my partner get an IVA and pay 100 pounds a month or so?

Thanks

Matt

sparkle84

An IVA is a legally binding agreement lasting 5 to 6 years, it has to be set up and supervised by an Insolvency Practitioner, you need to have a permanent job to enter into one because if it fails your creditors could petition for bankrupcy. You will have to do an Income and Expediture statement and provide payslip, bank statement etc every six months, which will be gone through very carefully. It is very unlikely your girlfriends creditors will accept "£100 or so" a month, it costs money to set one up, your creditors vote to accept or reject it unless you are protecting a property it is pretty pointless going for an IVA

GameOver_2

Hi

I just meant that can she get the payments lowered at all. She has filled out an income and expenditure form and it has come back saying payment wills be approx 200 pounds per month.

Thanks

Matt

sparkle84

No that's the problem with IVAs all these companies advertise that they reduce your debt by 75% etc etc in reality they can't they just want your money (IVA would cost approx £2000 to set up) an IP will expect you to pay all your surplus income into the IVA leaving you with very little if you don't have a property to remortgage in the 4th year they will make you extend it to 6 years I wouldn't touch one with a bargepole

matrix999

Is your girlfriends struggling to meet the repayments on a loan/credit agreement? If so, she may find it helpful to contact the consumer credit counselling service http://www.cccs.co.uk who will work out a debt management plan for her and negotiate with her creditors on her behalf.

HTH

taplady

sparkle84 wrote:

No that's the problem with IVAs all these companies advertise that they reduce your debt by 75% etc etc in reality they can't they just want your money (IVA would cost approx £2000 to set up) an IP will expect you to pay all your surplus income into the IVA leaving you with very little if you don't have a property to remortgage in the 4th year they will make you extend it to 6 years I wouldn't touch one with a bargepole

We have not long gone into an IVA after having it recommended by the CCCS who also recommended an IP to set it up.We dont own a property so were we given bad advice by the CCCS ?

sparkle84

Well I am not sure I would say you have been given "bad" advice but for someone with no property to protect I don't see the upside of an IVA when you could just go bankrupt - IVAs are really only for people who don't want to lose their house or if they work for a bank or some other job that would be effected by going bankrupt. I did a lot of research into them as I thought they would be the best move for me but instead I started a DMP with CCCS and hope to remortgage in 3 years and offer full and final settlements. This of course if just my opinion

taplady

sparkle84 wrote:

Well I am not sure I would say you have been given "bad" advice but for someone with no property to protect I don't see the upside of an IVA when you could just go bankrupt - IVAs are really only for people who don't want to lose their house or if they work for a bank or some other job that would be effected by going bankrupt. I did a lot of research into them as I thought they would be the best move for me but instead I started a DMP with CCCS and hope to remortgage in 3 years and offer full and final settlements. This of course if just my opinion

We didn't want to go bankrupt and this seemed the quickest way to get out of debt. I trusted the advice of the CCCS, surely they should know what they're talking about ?

sparkle84

Well the question is why didnt you want to go bankrupt an IVA will have the same effect on your credit score going bankrupt is just quicker I don't know why cccs suggested an IVA as I said I owe £43,000 and we agreed a DMP if I didn't own my own flat and work for a bank I would have gone bankrupt in a second. To be honest I think the CCCS are fantastic but in your case I think you have been given the wrong advice- please feel free to PM if you would like

Karen

tommyt_3

I am £27,000 in debt, with no home or assets. I currently live with my parents. Am currently trying to negotiate an IVA with creditors, but would I be better off filing for bankruptcy ?? CCCS did not advise this, so am curious. Is there circumstances where bankruptcy is unlikely to be granted ??

donnalove

going bankrupt has a bigger affect on your life than an iva,as if you apply for a mortgage you will be asked if you are or ever have been bankrupt, even tweenty years down the line you would have to say yes, whereas you wouldn't get asked if you have ever entered an iva.

i think an iva is only good if you know that you can stick to it for 5 years.
it is not easy they push you to the absolute limit of your income,only use them if you are absolutly sure you don't want bankrupcty or dmp.

that said we had a relitivly good life while in our iva we have just finished ours after 41/2 years by remortgaging but they let us keep £29,000(they got £9000) as we need house extension.
i think that show's that sometimes creditors do have a heart,(as my 3 girls have learning difficulties) by finishing early they only got 35p in the pound compared to 34p in the pound when first set up,(we had £37,000 debt)
when we had our meeting only 2 creditors bothered to vote, that to me seems like most weren't that bothered(MY SOLE OPINNION ONLY FROM MY EXPERIENCE),we had about 12 creditors altogether.
they chose to ignore the fact they could have had all there money back,plus interest.
PLEASE NOTE THAT THIS IS MY EXPERIENCE ONLY AND WANTED TO TELL IT AS IT WAS FOR US.
I KNOW THAT NOT EVERYONE'S CIRCUMSTANCES ARE THE SAME,OR THAT THE CREDITORS WOULD BEHAVE THE SAME WAY THEY HAVE HERE.